The 216 MW Upper Trishuli-1 Hydropower Project, currently under construction in Rasuwa district, has invested approximately Rs 170 million in community support programs in affected areas, project officials said.
According to Nepal Water and Energy Development Company (NWEDC), the project’s promoter, the funds have been utilized under the Corporate Social Responsibility (CSR) and Indigenous Community Plan initiatives, focusing on education, healthcare, drinking water, road infrastructure, cultural preservation, relief distribution, and livelihood enhancement programs.
“The company has been actively supporting local communities in multiple sectors to mitigate the impact of the project and ensure sustainable development,” said Giri Raj Adhikari, Technical Director at NWEDC.
The hydropower project, Nepal’s largest foreign direct investment (FDI)-funded initiative, is being developed under the leadership of a South Korean company. The project includes the construction of a dam in Haku, Aamachhodingmo Rural Municipality-1, and an underground powerhouse in Uttargaya Rural Municipality-1.
Following the 2015 earthquake, which severely affected the project area, NWEDC provided relief materials, temporary housing, and support for the reconstruction of schools and healthcare facilities among other work, according to state-owned news agency RSS.
NWEDC has also invested in key infrastructure projects in the affected region, including: Rs 78.6 million for a bailey bridge over the Trishuli River at Haku Besi, enhancing connectivity for residents of Aamachhodingmo Rural Municipality Wards 1 and 2 with Dhunche, Nuwakot, and Kathmandu; Rs 1.85 million for local road construction; and Rs 7 million for upgrades to the Dhunche-Kholdol road.
NWEDC CEO Byeong Soo Min said the community support programs aim to improve economic and social conditions, create employment opportunities, and foster local development, with projects selected based on community needs.
The hydropower project is backed by major investors, including the Korean government-owned KOEN and the International Finance Corporation (IFC) of the World Bank Group.
The financing structure consists of 70% debt and 30% equity, with nine international financial institutions committing $453.2 million of the total estimated cost of $647.3 million (including interest during construction).
Once operational, Upper Trishuli-1 is expected to generate 1.53 billion units of electricity annually, with 38.75% produced in winter and 61.25% in the monsoon season. The generated power will be connected to Nepal’s national transmission grid via the Trishuli-3B hub substation, currently under construction by the Nepal Electricity Authority (NEA). A power purchase agreement (PPA) has already been signed with NEA.
Due to its proximity to the Kathmandu Load Center and its ability to supply 104 MW of electricity even during winter, the project is considered critical for Nepal’s power stability.
The construction is scheduled for completion by December 2026.
RSS
